Boat Loans in Georgia: Factors You Should Consider
The wind blowing through your hair. The water splashing all around. The sun warming your skin. There’s nothing quite like owning a boat to enhance your lifestyle, and as a Georgia resident, you can use it to enjoy the outdoors all year long.
Don’t own a boat? Well what are you waiting for? If you need a boat loan in Georgia, Credit Unions offer competitive rates to help you set sail.
In order to find the best boat loan in Georgia to meet your specific financial needs, it’s important to do your research. Here are a few factors you should consider.
1. Interest Rates of Various Boat Loans in Georgia
Interest rates for boat loans vary according to factors such as your credit history, the duration of the loan, and the current economic climate. Even a fraction of a percentage point may mean higher payments in the long run.
2. The Length of Your Loan
The loan term makes a significant difference. Typically, the longer the duration of the loan, the less you will pay every month. However, that means you will pay interest on that loan for the full duration of the loan, even though your monthly payments are lower.
Take the time to calculate the differences in order to see how much you will truly be paying in total by the time the loan matures.
3. Whether or Not You Are Allowed to Pay Off the Loan Early
Some types of loans and some financial institutions do not allow you to pay off loans early, so you will be forced to pay that interest rate until the end of the term. If you do decide to pay it off early despite that condition, you may have to pay a loan payoff fee.
As you research your options for boat loans in Georgia, ask the financial institution representative about the institution’s policies about early payoffs.
4. GAP Coverage for Boat Insurance
Your insurance carrier may provide some protection for you as you are using your boat, but many issues might not be covered. That’s where guaranteed asset protection (GAP) insurance can be very helpful.
Typically, insurance providers cover slips and falls and damage caused by collisions, but that’s essentially it. Many insurance providers do not provide coverage for:
- Natural wear-and-tear
- Faulty machinery
- Damage caused by sea life
- Accessories in or on your boat
- Damage that occurs when someone other than the insured individual is driving
Other factors to consider regarding insurance for boats is geography. If you ride your boat outside of the covered territory, such as into international waters, your coverage might not be applicable.
Finally, a significant reason why it’s important to find a boat loan in Georgia that provides GAP coverage is bug infestation and mold that may occur. Rodents, zebra mussels, and insects like termites and cockroaches frequently infest boats, especially if the boat owners don’t take extra measures to keep them at bay. Mold is also a common concern if the boat is docked for a significant amount of time.
To learn more about boat loans in Georgia, speak with one of our associates today. Contact Georgia Heritage Federal Credit Union by sending us a message online or calling us at (912) 236-4400 during normal business hours. For more information, visit www.gaheritagefcu.org.